Renters' Rights Act 2025, Phase 1 commencement
Transition readiness pack

Wales · HMO Licensing in Wales: Mandatory HMO Licence From Local Housing Authority — Housing Act 2004; 5+ Persons From 2+ Households (No Storey Requirement in Wales) · Rent Smart Wales (Housing (Wales) Act 2014): ALL Private Landlords in Wales Must Register (Approx. £45; 5-Year Renewal) — Landlords Who Self-Manage Must ALSO Hold a Rent Smart Wales Licence (Approx. £245; Training Required; 5-Year Renewal) · Renting Homes (Wales) Act 2016 (In Force 1 December 2022): ASTs Abolished in Wales — Replaced by Occupation Contracts (Periodic Standard Occupation Contract for Private Sector); Section 21 Abolished in Wales From December 2022 (Before RRA 2025 Abolished It in England); Section 186 — 6-Month No-Fault Contract Termination Notice · Welsh HMO Standards: SI 2012/3232 (W.319) — Fire Safety; Amenity Standards; Space Standards · Renting Homes (Wales) Act Also Applies to HMO Occupiers — Written Statement of Contract Within 14 Days; Fitness for Human Habitation Obligations

HMO Licensing Wales 2026 — Mandatory HMO Licence, Rent Smart Wales Registration and Licence, Renting Homes (Wales) Act 2016 Occupation Contracts and Welsh HMO Standards

The HMO licensing regime in Wales is substantially more extensive than England due to the additional layer of Rent Smart Wales mandatory landlord registration and licensing under the Housing (Wales) Act 2014 — which applies to ALL private landlords in Wales regardless of whether they let an HMO. On top of this, the Renting Homes (Wales) Act 2016 (in force from 1 December 2022) abolished ASTs in Wales and replaced them with occupation contracts — abolishing Section 21 in Wales more than three years before the Renters' Rights Act 2025 abolished it in England.

Welsh HMO landlords face three distinct compliance obligations that do not apply in the same combination in England: (1) mandatory HMO licensing under the Housing Act 2004 (for HMOs with 5 or more occupiers from 2 or more households); (2) Rent Smart Wales landlord registration and licensing under the Housing (Wales) Act 2014 (for ALL private landlords, including HMO landlords, who self-manage their properties); and (3) compliance with the Renting Homes (Wales) Act 2016 occupation contract regime which replaced ASTs from 1 December 2022. A Welsh HMO landlord who self-manages their properties is subject to all three compliance layers simultaneously.

The most significant difference from England is the Renting Homes (Wales) Act 2016. Since 1 December 2022, there are no ASTs in Wales — all new and existing private sector tenancies were converted to Periodic Standard Occupation Contracts (PSoCs) on that date. There is no equivalent of Section 21 (no-fault eviction) in Wales — it was abolished by the RHWA 2016 when the Act came into force, three years before the Renters' Rights Act 2025 abolished Section 21 in England. Welsh HMO landlords who need to end a contract must use the statutory grounds-based procedure.

Mandatory HMO licence, Rent Smart Wales, Renting Homes (Wales) Act 2016, Welsh HMO standards and management regulations

The complete Welsh HMO licensing and compliance framework:

  • Mandatory HMO licence in Wales, additional licensing, HMO definition and Welsh HMO standards: MANDATORY HMO LICENSING IN WALES: under the Housing Act 2004 (which applies in Wales as well as England), a mandatory HMO licence is required from the local housing authority (LHA) for any HMO that is occupied by 5 or more persons forming 2 or more households. In Wales, the mandatory licensing threshold does NOT have a storey requirement (unlike the original English mandatory licensing threshold which was limited to HMOs of 3 or more storeys — the Welsh Government adopted regulations aligned with England's 2018 extension). The landlord must apply to the relevant local housing authority in Wales (e.g., Cardiff Council; Swansea Council; Newport City Council; Wrexham CBC; Rhondda Cynon Taf CBC; Carmarthenshire CC — the LHA for the area where the HMO is located). MANDATORY HMO LICENCE CONDITIONS IN WALES: the HMO licence sets out mandatory conditions that the landlord must comply with as a condition of the licence — derived from the Housing (Wales) Act 2014 and the Houses in Multiple Occupation (Licensing of HMOs) (Wales) Regulations 2012 (SI 2012/3232 (W.319)). The Welsh HMO standards set out in the Regulations include: FIRE SAFETY: adequate fire detection (smoke alarms; heat detectors; fire alarms); fire-resistant doors; means of escape (staircases; final exits); emergency lighting; fire extinguishers or fire blankets; AMENITY STANDARDS: minimum bathroom; shower; and WC facilities per number of occupiers (ratios specified in the Welsh Regulations — one bathroom per 4 occupiers is the general standard); adequate kitchen facilities (sink; cooker; worktop; storage per number of occupiers); SPACE STANDARDS: minimum room sizes for sleeping accommodation in Welsh HMOs — single bedroom minimum 6.51 sqm; double bedroom minimum 10.22 sqm (the Welsh space standards differ slightly from the English mandatory minimum room sizes of 6.51 sqm single and 10.22 sqm double — broadly aligned; check the LHA's current application of the Welsh Regulations); MANAGEMENT: gas safety certificates (annually); EICR (every 5 years); fire safety equipment inspected and maintained; common parts maintained in good repair. ADDITIONAL AND SELECTIVE LICENSING IN WALES: local housing authorities in Wales may introduce additional HMO licensing schemes (covering HMOs below the mandatory threshold — 1-4 occupiers) under Housing Act 2004 s.56; selective licensing schemes for the wider private rented sector are also available under Housing Act 2004 s.80; check with the local housing authority. HMO DEFINITION IN WALES (Housing Act 2004 s.254): a building or part of a building occupied by persons forming 2 or more households who share basic amenities; or 3 or more persons from 3 or more households with self-contained accommodation where the conversion does not comply with the 1991 Building Regulations. HMO MANAGEMENT REGULATIONS FOR WALES: the Licensing and Management of Houses in Multiple Occupation and Other Houses (Miscellaneous Provisions) (Wales) Regulations 2006 (SI 2006/1715 (W.177)) set out the management obligations for Welsh HMO landlords — broadly parallel to the English HMO management regulations (SI 2006/372) but with Welsh-specific provisions; cover duties in relation to supply of information; escape from fire; fire fighting equipment; common parts; windows and ventilation; water and drainage; gas and electrical installations; waste storage; repair and cleaning.
  • Rent Smart Wales registration and licence, Renting Homes (Wales) Act 2016 occupation contracts and Section 21 abolition: RENT SMART WALES — LANDLORD REGISTRATION (HOUSING (WALES) ACT 2014 s.28-30): ALL private landlords in Wales must register at Rent Smart Wales (the Rent Smart Wales licensing authority is Cardiff Council — the Welsh Government delegated the administration to Cardiff Council, which operates Rent Smart Wales at rentalsmartwalescymru.gov.wales). Registration is per-LANDLORD (not per property) — one registration covers all properties in Wales. Registration cost: approximately £45 (subject to review by Welsh Government/Cardiff Council). Registration is valid for 5 years. Landlords must provide: their name and contact details; details of all rental properties in Wales; the name and licence number of the managing agent (if the landlord uses an agent for all management functions). WHAT INFORMATION MUST BE GIVEN: landlords must notify Rent Smart Wales of any change in the address of their properties or in their contact details within 21 days. ENFORCEMENT: local housing authorities in Wales enforce Rent Smart Wales registration requirements. A landlord who lets or manages a property without being registered is committing a civil penalty offence — fixed penalty notice £150 for initial failure; repeated failure results in prosecution with a fine up to £2,500 (unlimited for serious repeat offenders from 2022). An unregistered landlord also cannot serve an effective possession notice under the RHWA 2016 (a notice to quit under the old law cannot be served without registration — now a notice to end the occupation contract). RENT SMART WALES — LANDLORD LICENCE (HOUSING (WALES) ACT 2014 s.5): in addition to registration, a landlord who performs ANY management functions for their rental properties must hold a Rent Smart Wales LICENCE. Management functions include: advertising the property for let; introducing potential tenants; undertaking inventories; collecting rent; dealing with repairs, maintenance, and complaints; serving notices; and carrying out any management activity. A landlord who delegates ALL management to a FULLY licensed letting agent does NOT need a personal licence. Licence cost: approximately £245 (individual; subject to review). TRAINING REQUIREMENT: to obtain a Rent Smart Wales licence, the landlord must complete an approved training course covering landlord duties under Welsh law (typically a 3-hour online course; Rent Smart Wales or an approved provider). Licence valid 5 years. RENTING HOMES (WALES) ACT 2016 (RHWA 2016 — IN FORCE FROM 1 DECEMBER 2022): the RHWA 2016 is the most significant piece of housing legislation in Wales in a generation. Key changes: (a) ABOLITION OF ASTs IN WALES: all ASTs in Wales were converted to Periodic Standard Occupation Contracts (PSoCs) at midnight on 1 December 2022 — there are no new ASTs in Wales from that date; HMO tenancy agreements issued after 1 December 2022 must be occupation contracts; (b) WRITTEN STATEMENT OF CONTRACT: landlords must provide a written statement of the occupation contract to the contract-holder within 14 days of occupation commencing — the written statement includes the mandatory terms (set by the RHWA 2016), fundamental terms (minimum statutory protections — cannot be varied against the contract-holder), supplementary terms (standard terms that can be varied by agreement), and additional terms agreed by the parties; failure to provide the written statement within 14 days: the landlord cannot serve a valid no-fault termination notice (Section 186) until 6 months after the written statement is eventually provided; the contract-holder can claim compensation of up to 2 months' rent; (c) SECTION 21 ABOLISHED IN WALES (from 1 December 2022 — more than 3 years before the Renters' Rights Act 2025 abolished Section 21 in England): Welsh landlords must use the RHWA 2016 contract-ending procedure; the NO-FAULT termination notice is Section 186 — the landlord must give a minimum 6 months' notice, and the notice cannot take effect before the end of the first 6 months of the occupation contract (so effectively no possession before month 6 of a new contract using this ground); for BREACH-based grounds, Section 173 applies (equivalent of the Section 8 mandatory and discretionary grounds in England) — grounds include serious rent arrears; anti-social behaviour; conviction; abandonment; (d) FITNESS FOR HUMAN HABITATION: the RHWA 2016 implies terms into all occupation contracts requiring the landlord to keep the property in a state of fitness for human habitation — parallel to the Homes (Fitness for Human Habitation) Act 2018 in England; (e) WRITTEN STATEMENT FOR HMO LANDLORDS: in HMOs, each individual contract-holder receives their own written statement; joint occupation contracts are also possible

Frequently asked questions

Do all Welsh landlords need to register with Rent Smart Wales?+

Yes — ALL private landlords in Wales must register at Rent Smart Wales (under the Housing (Wales) Act 2014), including HMO landlords. Registration is per-landlord and costs approximately £45, renewed every 5 years. In addition, landlords who perform any management functions for their Welsh properties must also hold a Rent Smart Wales Licence (approximately £245; approved training required; 5-year renewal). A landlord who uses a fully licensed agent for all management does not need a personal licence.

Is a mandatory HMO licence required in Wales?+

Yes — under the Housing Act 2004, a mandatory HMO licence from the local housing authority is required for any HMO in Wales occupied by 5 or more persons from 2 or more households. Wales does not have a storey requirement for mandatory licensing. Local housing authorities in Wales may also introduce additional licensing schemes covering smaller HMOs. The Rent Smart Wales registration and licence requirement applies IN ADDITION to any mandatory HMO licence — these are separate obligations.

Has Section 21 been abolished in Wales?+

Yes — Section 21 was abolished in Wales when the Renting Homes (Wales) Act 2016 came into force on 1 December 2022 — more than three years before the Renters' Rights Act 2025 abolished it in England. Since 1 December 2022, there are no ASTs in Wales. All private rented sector tenancies (including HMOs) are now governed by occupation contracts (Periodic Standard Occupation Contracts). The no-fault termination ground is Section 186 — a minimum 6 months' notice, not effective before month 6 of the contract.

What are the written statement obligations for Welsh HMO landlords?+

Under the Renting Homes (Wales) Act 2016 (in force from 1 December 2022), HMO landlords must provide each contract-holder with a written statement of their occupation contract within 14 days of occupation commencing. Failure to provide the written statement: the landlord cannot serve a valid Section 186 (no-fault) termination notice until 6 months after the statement is eventually provided; the contract-holder may claim up to 2 months' rent as compensation.